Finance & Management Committee
September 22, 2026
AGENDA REPORT
TO: Elizabeth Lake FROM: Bradley Johnson
Interim City Administrator Director of Finance
SUBJECT: Parking Garages Operations,
Financial & Management Update
DATE: September 10, 2026
City Administrator Approval Date:
RECOMMENDATION
Staff Recommends The City Council Receive an Informational Report on the Operational and Financial Status of City-Owned Parking Garages, Evaluation of Parking Operator Performance, and Review of the City's Parking Operations Alternative.
EXECUTIVE SUMMARY
The City's parking garage portfolio continues to provide critical parking resources that support businesses, employees, residents, visitors, and City services. Despite significant changes in parking demand following the COVID-19 pandemic, the City's parking garages remain an important public asset. Total parking revenue declined approximately 17% from $10.38 million in FY 2019-20 to an estimated $8.59 million in FY 2025-26, requiring staff to identify opportunities to improve the financial sustainability of garage operations. In response to declining revenues, staff implemented a series of operational changes designed to reduce expenses while maintaining service levels. Working collaboratively with City of Oakland Parking Partners (“COPP”), staff eliminated cash transactions and converted legacy Parking Access and Revenue Control Systems (PARCS) in garages to a gateless operating model.
While the gateless operating model generated significant savings, staff has identified concerns that the absence of physical access controls may contribute to lower payment compliance and reduced revenue collection. As part of the City's review of parking operations alternatives, staff will evaluate whether the current gateless operating model remains the most effective long-term solution for managing City-owned parking garages. Alternatives under consideration include improvements to communications infrastructure, enhanced antenna and network solutions, upgraded revenue-control technologies, replacement of existing ALPR systems, and potential reintroduction of gated parking operations at the garages.
Staff's evaluation of COPP found that the operator has satisfactorily continued to provide parking facility management, maintenance oversight, customer service, security coordination, and financial reporting services during a period of significant financial and operational change.
Elizabeth Lake (Sep 5, 2026 00:39:12 PDT)
Sep 5, 2026
Elizabeth Lake, Interim City Administrator
Subject: Parking Garages Operations, Financials & Management Update Date: September 10, 2026 Page 2
Finance & Management Committee
September 22, 2026
COPP has maintained satisfactory customer service performance and assisted in implementing operational changes designed to reduce costs and maintain continuity of service.
Total parking revenue managed by COPP declined approximately 52% from $8.3 million in FY 2019-20 to an estimated $4.0 million in FY 2025-26, requiring staff to identify opportunities to improve the financial sustainability of garage operations. Despite this decline in revenue, the parking garages managed by COPP are projected to generate a net operating profit of approximately $807,755 in FY 2025-26.
Staff's evaluation of future parking operations alternatives is intended to assess the effectiveness of the current operating model, which was implemented as part of the City's parking operations strategy, and to identify future operational needs. The evaluation should not be interpreted as a reflection of operator performance.
In addition to evaluating operational efficiencies and revenue-control technologies, staff has identified opportunities to increase utilization and revenue generation throughout the City's parking garage portfolio. Potential areas of focus include expanded operating hours where customer demand exists, enhanced customer experience, improved parking technology, expanded partnerships with businesses and event venues, marketing and wayfinding improvements, special-event parking opportunities, and evaluation of parking rates and permit programs. These strategies are intended to improve occupancy, strengthen revenue generation, and maximize the value of existing parking assets.
To support these efforts staff intends to initiate a competitive Request for Proposals (RFP) process beginning in October 2026. The RFP process will include development of an updated scope of work designed to reflect the City's operational needs and policy objectives, support the effective management of City-owned parking facilities, maximize parking revenue, improve customer service and operational performance, and evaluate alternatives for future parking operations. The procurement process will evaluate future management approaches, operational requirements, technology solutions, operating hours, and revenue-generation strategies to help ensure the long-term financial sustainability and effectiveness of the City's parking garage portfolio.
BACKGROUND / LEGISLATIVE HISTORY
In January 2014, the City Council adopted Resolution No. 84807 C.M.S. directing the City Administrator to negotiate a multi-year contract for the operation and management of City- owned parking garages with Standard Parking Corporation and its partners, CMA/Wellington, LLC, under the name City of Oakland Parking Partners (COPP), the highest scoring respondent to a competitive RFP, and return to the City Council upon conclusion of negotiations for final approval of the contract and other parking-related matters.
In May 2014, City Council adopted Resolution No. 84993 C.M.S. authorizing a contract with COPP for the operation and management of sixteen municipal parking facilities for an initial period of five years, with options to extend for an additional two-and-a-half-year term and/or on a month-to-month basis for up to eighteen months.
Elizabeth Lake, Interim City Administrator
Subject: Parking Garages Operations, Financials & Management Update Date: September 10, 2026 Page 3
Finance & Management Committee
September 22, 2026
In November 2015, City Council adopted Resolution No. 85888 C.M.S. amending Resolution No. 84993 C.M.S., to support the effective operation and management of the City's municipal parking garages and lots by removing the monthly cap or not-to-exceed limits from the authorizing legislation.
In May 2016, City Council adopted Resolution No. 86146 C.M.S. increasing the authorized annual limit of $600,000 for increased levels of service at COPP-managed parking facilities. In November 2016, City Council adopted Resolution No. 86461 C.M.S. authorizing an additional $850,000 in annual contract capacity with COPP.
The City Council-approved fiscal year (FY) 2021-2023 Adopted Policy Budget included authorization for the installation of “gateless integrated parking garages” throughout all existing City garages, to streamline parking meter and enforcement systems for both on-street and off- street parking and supporting a $1 million reduction of funds available for the COPP garage management service contract.
In July 2023, City Council adopted Resolution No. 89842 C.M.S. authorizing an extension to the contract with COPP for the operation and management of sixteen municipal parking facilities for an additional two years in an amount not-to-exceed amount of $4,133,013, with an option to extend the agreement on a month-to-month basis for up to one additional year.
In July 2026, the City Council adopted Resolution No. 91280 C.M.S. authorizing an extension to the contract with COPP for the operation and management of sixteen municipal parking facilities for an additional five months in an amount not-to-exceed amount of $1,722,089.
ANALYSIS AND POLICY ALTERNATIVES
Operational and Financial Status of City-Owned Parking Garages
The City's parking garage portfolio remains an important public asset that supports downtown economic activity, provides access to businesses, public institutions, employees, residents, and visitors, and generates revenues to support parking operations and facility maintenance.
Following the COVID-19 pandemic, parking revenues declined significantly, requiring staff to identify opportunities to reduce operating expenses while maintaining service levels. Total parking garage revenue declined approximately 17% from $10.38 million in FY 2019-20 to an estimated $8.59 million in FY 2025-26, while total parking garage revenue managed by COPP declined approximately 52% from $8.3 million in FY 2019-20 to an estimated $4.0 million in FY 2025-26. Nevertheless, the garage system managed by COPP is projected to maintain a positive net operating income of approximately $807,755 for FY 2025-26, reflecting its ongoing contribution to the City's overall financial position.
To help offset the decline in revenue and maintain financial sustainability, operating expenses were reduced through a series of operational changes designed to improve efficiency and maintain the financial sustainability of garage operations. These include the transition from gated parking operations to a gateless operating model and the elimination of cash transactions.
Elizabeth Lake, Interim City Administrator
Subject: Parking Garages Operations, Financials & Management Update Date: September 10, 2026 Page 4
Finance & Management Committee
September 22, 2026
These measures enabled the City to continue operating its parking garages despite reduced parking demand and lower revenue levels.
While the gateless model achieved important financial objectives, staff has identified ongoing challenges associated with parking enforcement. Unlike traditional gated facilities, the gateless model relies heavily on technology-based enforcement and payment systems, including Automatic License Plate Recognition (ALPR) technology and electronic payment platforms.
Based on the City's operational experience, staff believes it is appropriate to evaluate whether the current gateless operating model remains the most effective long-term solution for managing City-owned parking garages. Table 1 shows the total number of citations and corresponding revenue since the gateless model became operational beginning in calendar year 2022.
Table 1: Gateless Model Statistics - Summary
Summary – All Garages Gateless Model
Calendar Year 2022-2026
Total No. of Citations 5,463
Total Revenue $339,881
See Table 2 below for details garage by garage
Table 2: Gateless Model Statistics – Garage by Garage
Oakland Parking Garage Citations by Year
Citation counts by garage, calendar year 2022–2026
Garage by Garage
Gateless
Conversion
Date
2022 2023 2024 2025 2026* Total
Dalziel Garage
No. of Citations September
2023
0 108 187 117 14 426
Citation Revenue Collected $0 $7,735 $13,646 $8,003 $678 $30,062
Harrison Garage
No. of Citations July
2023
0 48 111 117 144 420
Citation Revenue Collected $0 $1,575 $5,963 $9,228 $5,748 $22,514
1800 San Pablo
No. of Citations October
2022
8 15 197 216 77 513
Citation Revenue Collected $679 $786 $14,140 $17,551 $3,582 $36,738
City Center West Garage
No. of Citations September
2023
0 467 184 15 445 1,111
Citation Revenue Collected $0 $28,830 $12,510 $662 $18,539 $60,541
Telegraph Plaza
No. of Citations May
2022
401 186 175 120 97 979
Citation Revenue Collected $26,728 $14,528 $13,439 $10,999 $4,304 $69,998
Alexander Webster
Garage
No. of Citations
August
2023
0 192
381
551
74 1,198
Citation Revenue Collected $0 $11,980 $19,592 $37,515 $3,086 $72,173 Elizabeth Lake, Interim City Administrator
Subject: Parking Garages Operations, Financials & Management Update Date: September 10, 2026 Page 5
Finance & Management Committee
September 22, 2026
Oakland Parking Garage Citations by Year
Citation counts by garage, calendar year 2022–2026
Garage by Garage
Gateless
Conversion
Date
2022 2023 2024 2025 2026* Total
Franklin Plaza
No. of Citations August
2023
1 61 141 264 209 676
Citation Revenue Collected $66 $3,844 $10,540 $15,398 $9,267 $39,115
Fruitvale Lot
No. of Citations August
2022
21 0 52 67 0 140
Citation Revenue Collected $1,820 $0 $4,374 $2,546 $0 $8,740
Total # of Citations 431 1,077 1,428 1,467 1,060 5,463
Total Citation Revenue Collected $29,293 $69,278 $94,204 $101,902 $45,204 $339,881 * 2026 reflects a partial year (through current data pull) and is not directly comparable to prior full years.
Source: Oakland_Parking_Garage_Citations_CY.xlsx, citation-level export by garage location.
As part of the City's review of parking operations alternatives, staff will evaluate a range of options, including enhancements to the existing gateless operating model through improved communications infrastructure, upgraded ALPR technology, and third-party antenna or network solutions designed to improve system reliability. Staff will also evaluate replacement of existing technology platforms and the potential reintroduction of gated parking operations at selected facilities. Alternatives will be assessed based on operational effectiveness, enforcement capabilities, customer experience, revenue protection, implementation costs, maintenance requirements, and long-term financial sustainability.
Deferred Maintenance, Capital Improvements & Compliance Repairs
Staff has identified opportunities to increase the overall performance of the City’s parking garage portfolio while addressing deferred maintenance and capital improvement needs. Future investments in technology, facility modernization, and operational improvements will be evaluated to ensure the continued viability and effectiveness of the City's parking assets. Staff has received estimates for required maintenance and repairs across the City-owned garages and lots totaling approximately $7.86 million. The identified needs range from minor remediation, including signage replacement and LED lighting upgrades, to major capital improvement projects, including the potential retrofit of an elevator at the City Center West Garage, with an estimated cost of $5.00 million.
During the transition of garage management responsibilities from DOT to Finance, Finance Staff became aware of outstanding public safety and code-compliance deficiencies from an Oakland Fire Department (OFD) inspection conducted in October 2025, with an estimated unbudgeted cost of approximately $600,000 to address repairs needed to the fire alarm panel, blue-light call boxes, and exit signs. These items affect fire protection, emergency communication, and safe egress and require prompt attention to maintain safe and code-compliant facilities. OFD advised that continued non-compliance could result in a reduction of permissible parking capacity to 49 vehicles until the necessary corrections are completed.
Elizabeth Lake, Interim City Administrator
Subject: Parking Garages Operations, Financials & Management Update Date: September 10, 2026 Page 6
Finance & Management Committee
September 22, 2026
Because these findings became known to Finance Staff after the FY 2026-27 budget adoption, Finance Staff identified alternative funding to address the immediate repair requirements.
Finance Staff has since obtained competitive bids for the required repairs and submitted a compliance plan to OFD, with work now underway to address the outstanding items.
Evaluation of City of Oakland Parking Partners (COPP)
The evaluation of City of Oakland Parking Partners (COPP) focused on the operator's management of parking facilities, maintenance oversight, customer service, security coordination, and financial reporting responsibilities. Staff reports that COPP has maintained satisfactory customer service performance and has supported implementation of operational changes intended to improve efficiency and reduce operating costs.
COPP worked collaboratively with staff to implement cost-saving initiatives, including the transition to gateless operations, elimination of cash transactions, and other operational efficiencies that reduced annual operating expenses. Staff reports that customer service performance has remained satisfactory and that COPP has continued to provide facility management and operational support throughout the City's parking garage portfolio while assisting staff with implementation of operational changes.
Although staff has identified areas where future parking operations may benefit from different technology solutions or operating models, these considerations are not a reflection of operator performance. Rather, they represent broader policy and operational questions regarding how the City's parking garages should be managed in the future to maximize revenue, improve enforcement effectiveness, address deferred maintenance needs, strengthen revenue accountability, and enhance the overall customer experience.
Opportunities to Increase Utilization and Revenue
In addition to reducing operating expenses, staff recognizes the importance of increasing utilization and revenue generation throughout the City's parking garage portfolio. While post- pandemic changes in travel patterns have affected parking demand, opportunities exist to improve occupancy and maximize the value of existing parking assets.
As part of the review of parking operations alternatives and development of the scope of work for the upcoming Request for Proposals (RFP), staff will evaluate strategies designed to improve customer access, increase patronage, strengthen revenue generation, and support the long-term operational and financial performance of the City's parking garages.
Potential areas of focus include:
• Expanded operating hours at facilities where customer demand exists during evenings, weekends, and special events.
• Enhanced customer experience through modernization of parking access and payment technologies.
• Improved parking wayfinding, customer information, and marketing efforts. • Expanded partnerships with downtown businesses, entertainment venues, cultural institutions, employers, and special event organizers.
Elizabeth Lake, Interim City Administrator
Subject: Parking Garages Operations, Financials & Management Update Date: September 10, 2026 Page 7
Finance & Management Committee
September 22, 2026
• Evaluation of monthly parking programs, permit structures, and transient parking rates to better align with market conditions.
• Assessment of special-event parking opportunities and shared parking arrangements. • Technology improvements that simplify parking access and improve customer convenience.
• Evaluation of parking access and revenue-control systems, including gateless operations, enhanced communications infrastructure, and gated access alternatives.
The objective of these efforts is to identify opportunities not only to reduce operating costs, but also to increase utilization, strengthen revenue generation, improve customer service, and maximize the overall performance of the City's parking garage portfolio while supporting long- term financial sustainability.
Review of Parking Operations Alternatives and Future Procurement
As part of the City's ongoing evaluation of parking operations, staff intends to initiate a competitive Request for Proposals (RFP) process beginning in October 2026. The RFP will provide an opportunity to assess future parking management strategies, operational requirements, technology improvements, customer service expectations, revenue-control approaches, and opportunities to increase utilization and revenue generation. The procurement process will also allow staff to evaluate best practices utilized by peer agencies and private- sector parking operators.
Table 3: Procurement Timeline
Item Target Date
Develop updated scope of work and procurement documents October 2026 Release Request for Proposals November 2026
Proposal evaluation and interviews December 2026 - January 2027 Selection and contract negotiations February 2027 – March 2027 Finance & Management Committee review April 2027
City Council consideration and contract award April 2027 Transition and implementation period Spring 2027 - Summer 2027 Commencement of new operating agreement Fall 2027
The RFP process will evaluate multiple operational alternatives, including continuation of the current gateless operating model, enhancements to the existing model through improved communications and antenna infrastructure, replacement of existing ALPR and revenue-control technologies, expanded operating hours, and potential reintroduction of gated parking operations at selected facilities. The objective of this review is to identify an operating model that provides the best balance of customer service, operational reliability, revenue accountability, enforcement effectiveness, increased utilization, and long-term financial sustainability.
Elizabeth Lake, Interim City Administrator
Subject: Parking Garages Operations, Financials & Management Update Date: September 10, 2026 Page 8
Finance & Management Committee
September 22, 2026
RELATED PLANNING EFFORTS
The City's parking garage portfolio supports the goals of the City of Oakland Strategic Plan 2025-2028 by promoting fiscal responsibility, economic development, and effective stewardship of public assets.
As the City continues to address fiscal challenges and prioritize long-term financial sustainability, the management and operation of City-owned parking garages plays an important role in generating revenue, supporting economic activity, and maintaining access to downtown businesses, employment centers, public facilities, and community destinations.
This report's evaluation of parking garage operations, parking operator performance, and future parking operations alternatives aligns with the Strategic Plan's objective of balancing fiscal responsibility with economic development and service delivery. The review of operational efficiencies, revenue-generation opportunities, technology improvements, and future management strategies is intended to ensure that the City's parking assets are managed effectively, support continued economic activity and contribute to the long-term financial sustainability of City operations.
The City’s parking garages also represent an opportunity to advance the Road to Fiscal Health element to maximize collection of existing revenue sources, as directed by the Oakland Roadmap to Fiscal Health, which was received and filed by the City Council in June 2025.
Ensuring that parking-related revenues are fully realized can provide additional resources to support the City’s financial obligations and fiscal priorities.
FISCAL IMPACT
There is no direct fiscal impact associated with this report, as it is informational in nature and provides a review of the operational and financial status of the City's parking garage portfolio, as well as a discussion of potential future operational and management alternatives. Any future recommendations involving changes to parking operations, technology investments, facility improvements, or parking management contracts that may result in fiscal impacts will be presented to the City Council for consideration as part of a future action.
PUBLIC OUTREACH / INTEREST
No outreach was deemed necessary for this informational report beyond the standard City Council agenda noticing procedures.
COORDINATION
This report was prepared in coordination with the City Administrator’s Office and the Finance Department.
Elizabeth Lake, Interim City Administrator
Subject: Parking Garages Operations, Financials & Management Update Date: September 10, 2026 Page 9
Finance & Management Committee
September 22, 2026
PAST PERFORMANCE, EVALUATION AND FOLLOW-UP
Staff's evaluation found that COPP satisfactorily fulfilled its contractual responsibilities, including facility management, customer service, maintenance coordination, and operational support.
COPP worked collaboratively with staff to implement several cost-saving initiatives and maintained acceptable service levels throughout the evaluation period.
RACE AND EQUITY
This report is informational in nature and does not recommend or implement any policy, programmatic, budgetary, or operational changes. Therefore, staff did not conduct a Race and Equity Impact Analysis for this item. Any future recommendations resulting from the evaluation of parking operations alternatives will be evaluated for potential race and equity impacts and brought forward for City Council consideration as appropriate.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA)
This report is informational in nature and does not constitute a project under the California Environmental Quality Act (CEQA). Therefore, no CEQA review is required.
Elizabeth Lake, Interim City Administrator
Subject: Parking Garages Operations, Financials & Management Update Date: September 10, 2026 Page 10
Finance & Management Committee
September 22, 2026
Bradley Johnson (Sep 3, 2026 15:42:40 PDT)
ACTION REQUESTED OF THE CITY COUNCIL
Staff Recommends The City Council Receive an Informational Report on the Operational and Financial Status of City-Owned Parking Garages, Evaluation of Parking Operator Performance, and Review of the City's Parking Operations Alternative.
For questions regarding this report, please contact Jose Segura, Assistant Revenue & Tax Administrator, Finance Department at (510) 238-2972.
Respectfully submitted,
BRADLEY JOHNSON
Director, Finance
Reviewed by:
Nicole Welch, Revenue & Tax Administrator
Prepared by:
Jose Segura, Assistant Revenue & Tax
Administrator Revenue Management Bureau